NEC and Hitachi to Sell a Portion of Their Shares in Elpida Memory
TOKYO, JAPAN, August 30, 2005 - Elpida Memory, Inc (Elpida), Japan's leading global supplier of Dynamic Random Access Memory (DRAM) products, today announced that it has been notified that its two largest shareholders, NEC and Hitachi, plan to sell a portion of their Elpida shares. Details of the planned sale appear below.
- Profiles of NEC and Hitachi
NEC (1) Company name: NEC Corporation (NEC) (2) Headquarters: Minato-ku, Tokyo, Japan (3) President: Mr. Akinobu Kanasugi Hitachi (1) Company name: Hitachi, Ltd. (Hitachi) (2) Headquarters: Chiyoda-ku, Tokyo, Japan (3) President, Chief Executive Officer and Director: Mr. Etsuhiko Shoyama - Sales of shares by NEC and Hitachi:
Number of shares to be sold, amounts of voting stock before and after changes in stock ownership (along with total stock ownership) and percentages of voting stock [as currently projected].Pre-sale
(as of July 31, 2005)Post-sale Shareholder No. of Shares to Be Sold Voting Stock
(Total Stock Ownership)% of Voting Stock* Shareholding Rank Voting Stock
(Total Stock Ownership)% of Voting Stock* Shareholding Rank Hitachi, Ltd. 4,000,000 229,999
(22,999,980)23.84% 2nd 189,999
(18,999,980)19.70% 1st NEC Corporation 9,600,000 230,000
(23,000,020)23.84% 1st 134,000
(13,400,020)13.89% 2nd *Note: The amount of voting stock as of July 31, 2005 and today (964,611) compared with as of March 31, 2005 (919,811) is calculated as follows:
964,611 = 919,811 (the total of voting stock as of March 31) + 44,800 (voting stock raised through a conversion of Class B stock to common stock).
- Date of change in stock ownership (expected):
Within the first half of FY 2005 (FY 2005 ends March 31, 2006). - Impact of the Sale of Shares
With the sale of a portion of their Elpida shares, Elpida will no longer be considered an equity-method holding of NEC and Hitachi. However, the business relationships with the two companies will remain the same, and we do not expect a change in their Elpida share ownership to affect our business performance.
Information in this news release is current as of the timing of the release, but may be revised later without notice.